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tv   Your Money  CNN  September 17, 2011 1:00pm-2:00pm EDT

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they insist they are innocent. do you have a boomerang kid at home? that's one who has moved back -- moved out but has come back to live at home. after you said your good-byes, now what? at 2:00 eastern time we'll give you rules to live by with your adult kids. our financial expert karen lee will be along. i'm fredricka whitfield, "your $$$$$" starts right now. president obama has two goals, create jobs and save his own. has he a plan, but will it work? i'm christine romance. welcome to "your $$$$$." ali velshi is off this week. initial polls find very little support for the president's handling of the economy. cnn polls show 36% of americans approve of how president obama is handling this economy. cnn's chief political correspondent and anchor of state of the union which airs
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every sunday morning. candy, we don't know what will pass and if it works. currently the president addresses prime time, has he lost the ability to inspire confidence. >> the entire country is show-me state. they have heard for the entire time, since before the stimulus plan, that the stimulus plan would keep unemployment under a certain amount, grow the economy this amount. they have heard a lot of things that didn't happen, whether it was because the economy was worse than what they thought it was, whether it was because it was the wrong remedy or not enough remedy, whatever the reason is the american people are now skeptical that washington, including president obama, can do much to change things. i think that's what's reflected in the polls. everybody wants to see it before they believe it. >> those same polls show just three out of ten people feel they are better off today than
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they were ten years ago. we know congress has a lower approval rating than the president. these are one national polls. there's just one national election. if the economy doesn't improve, can the president win? >> yes, of course, anything can happen. that question, are you better off today than you were four years ago, i bet you hear again. that was a famous ronald reagan question when he ran against jimmy carter. the right track, wrong track is extremely important and tends to mirror what's ahead when it comes to elections. let me tell you how the white house sees this happening. i can give you many where they thought it would happen before and the exact opposite happened. george h.w. bush, first gulf war, a tremendous success. everybody thought, hey, he's in. he lost. maureen barracks blown up right near the election, we thought
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he's going to lose. boom, he won re-election. things change. there is that. we don't see much changing in the economy even by the white house's own predictions. what we're looking at can they sell, as ronald reagan did, the trajectory of things. can we sell things are getting better. not where we want them but on the right path that's where we have to go. >> the president, the big fund-raiser this week, he said his chances of being re-elected in 2012, they are better than his chances of being elected in the first place. sort of telling his supporters, come on, there's a long time nobody thought a guy like me could be elected in the first place. he was trying to inspire confidence that way. diane swonk, she joins us. americans are not motivated to spend. no increase in july retail sales, how important is confidence here at this stage of
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the economy? >> there's no question on the margin confidence matters a lot. unfortunately we have a very marginal economy. it is important. remember, we saw retail sales flat line along with employment. we also saw wages decline in the month of august. consumers have a real reason not to be confident right now and to be more pulling back and be more cautious in their spending. so although confidence is very important, and i think certainty going forward for businesses, especially in hiring, trillion dollars in stimulus on the sidelines they are hoarding on their balance sheets, they need the confidence to have some kind of path going forward, even if it's hard. they just want some clarity. they can negotiate potholes in the road ahead as long as they are there. >> diane, is it the president's job town lock confidence? can he do that? does he have the key? >> nobody has the magic key. if they did, it would be unlocked. certainly one aspect, if we could come up with a long-term deficit reduction plan with some tim lsu to at least maintain the
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status quo and stop us from going under water, that would help businesses, consumers, some idea, some vision about where we're going, i think that could lift a little bit on the margins. frankly, like i said, when you're growing marginally that helps. >> greg, potomac research greg. the president laid out his plan, hasn't given him a bounce in the polls, long battle with congress already you said way. when will it be fair to judge if the policies work? >> he's almost running out of time right now, i think, christine. you would have to make a counter argument listening to what you guys are saying. what if things get worse instead of better? what if the unemployment rate drifts higher? that could occur. you've got the solyndra scandal, solar company. that could get worse. a big fight with the palestinians at the u.n. most importantly a situation in europe that hasn't come close to bottoming. you add it all up. yeah, things might get better
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for him. there's a greater chance things could get worse. >> you bring up the solyndra scandal. i want to bring candi in. the president went through as an example of competition, taxpayers on the hook. $19 billion in unemployment checks wrongfully issued. these do not inspire confidence in the government spending more money. >> no. it's the drip, drip, drip that either one of them -- we don't really know what went on with the solar power company. we're not really sure. so far no one proved anything illegal. here is an administration that came in saying we'll be transparent. know all this stuff. we'll be different. looks like the same old stuff. at the very least, this looks
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like the same kind of somebody gets a good deal and taxpayers feel like they always get the shaft. so it just adds to the general feeling of, you know, washington is the same old place and they never do anything. that is bad for anyone who is running for re-election, the president included. >> dinah, wall street poll found one in three chance of slipping into another recession in the next year. that's the worst odds they have given since the recovery took hold. i mean, i guess on the other side of that, that's two and three chance we don't slip into a recession. clearly how does that affect confidence when we're hearing so many affected by the recession. >> i'm a little higher than my colleagues in the economics profession in terms of europe, europe, europe, containment versus contagion. i think it's very important. these are issues, we have to be honest. i always have hope.
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i'm an optimist. if you grow up in detroit and you manage to survive it, you've got a lot of optimism in the world. that's what i am, an optimist. that said we've got to find a lot more unite in europe and the united states. our problems are not insurmountable. they are sur mountable. the clock is ticking. as greg knows, the unity in washington isn't there, europe as well. they need to get ahead of the curve rather than behind it. washington has the same disease. the imf made it clear christine lagarde out there pushing. let's face it, we're all in the same economic boat. if we don't have our oars in the water at the same time we're going to be in trouble. >> want to talk about the president preventing, did he, economic disaster. did he make things worse. s are things as bad as it seems.
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perception versus reality in this economy and president next on "your $$$$$." nice wheels. oh, thanks. keeps me young. hello there, handsome. your dinner's in the microwave, dear. ♪ where do you want to go? just drive. [ engine revs, tires screech ] mom? ♪ it's schwab at your fingertips wherever, whenever you want. one log in lets you monitor all of your balances and transfer between accounts, so your money can move as fast as you do. check out your portfolio, track the market with live updates. and execute trades anywhere and anytime the inspiration hits you. even deposit checks right from your phone. just take a picture, hit deposit and you're done. open an account today and put schwab mobile to work for you.
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so if you ask americans how they feel about the economy the answer is brutal. according to a poll, 85% of americans say economic conditions today are poor. i want to talk about perception versus reality, but first i want to ask greg. we're talking about europe. you want to jump in there. this is the proverbial next shoe to drop, isn't it? >> i think so, christine. the spectacle of geithner racing to poland, u.s. fed putting dollars into european banks is quite unnerve. i would have to say in mentioning the fed, when you heard the rhetoric this week from boehner and the president, you get the feeling the gridlock is coming back in washington. the fed may be left to do the heavy lifting. of all the big stories next week, the biggest may be the fmoc. i wouldn't be shocked to see the fed unveil new policies. >> would that be treasonous.
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sorry, cheap shot. what more could the fed do politically, a lot on the right questioning what the fed has done so far. how many more tools does it have in its toolbox. >> two things they could emphasize purchases of longer term securities driving rates down further. number two, this is very controversial, i think they will at least debate the idea of getting more liberal on their inflatii inflation target. >> diane, what do you think. >> i think operation twist named in 1961 after chubby checkers version of the twist is get that twist in duration, the longer term thing. that's what we're seeing priced to market. the fed may disappoint in this meeting in september. i'm a little hesitant, although there's many people who want to go for it. dissenters are still allowed and may take until november to do it. i think they will do it, operation twist, buying longer term securities. in terms of
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large scale assets changing inflation target, i don't think that's on the horizon, just too risky for the hawks at the fed to stomach. i do the fed is not done yet. they are feeling enormous burden central banks the world over of trying to carry a very fragile recovery in the developed economies. >> in the world we live in, three of us live in, we're talking about the fed and what the fed could do to operation twist, central banks do to keep dollar borrowing in europe and the like. here in this country people talk about what president obama, what he's doing, he alone, his handling of the economy. a lot of people say he's doing a better job of handling the economy than congressional republicans when lou at polls. they hold president bush more responsible than president obama in the mess we're in. in making a case for others that blame the economy, has the president left the impression with voters no one is at the wheel in washington preventing the economic bus from going off the cliff?
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>> i think to the contrary and to his own detriment, the president said a while back, hey, if i don't begin to turn this economy around, bring this deficit down, if i don't do the following things, i'm going to be a one-term president. you're going to hear that a lot. i assure you, that's going to turn up in republican commercials. he laid out the things he needed to do about the economy and the country. in terms of the perception of it, i think when people look at washington, they look at the gang that can't shoot straight. while it's totally believe they don't believe -- republicans have a lower approval rating than the president, it's omzs and orange. the president will be running against one persona national poll. what matters to those congressmen is how people in the districts feel, why over 60% -- actually over 70% of the people get re-elected. their district tends to like them. it's not the same sort of
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looking at it. i think in the end when you look at how people view washington they look at it as a big glob that can't move, not this guy and that guy. they are disgusted with washington in general. bad news if you're an incumbent. >> they look at congress and others shooting at each other. 2.4 million jobs overall, the loss as president obama took office in 2009, it's a number -- lots of numbers like that reminded by conservatives, say this president is the reason the economy is doing what it is, not that the president is trying to mitigate a bad economy. is that what the president will be judged on next november? >> i think so. diane and i talked about this, obama probably made things better. it could have been a lot worse. he stopped hemorrhaging, as
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diane says. most voters don't want to hear that. most look at policies and conclude they haven't worked. >> one last time, people say things in polls, because there's a lot of negativity around them. we see this sometimes in consumer confidence. people say they feel terrible, look at spending numbers and they are fine. how much is perception, how much is reality. give me your real feel on what's happening in the economy for the middle income earner. >> i think in this case perception and reality are one in the same. we do see times when you see a major break between the two. a good instance is 9/11. we saw confidence actually shattered and the economy moved into recovery after that on the flip side as cannedi pointed out the surge in confidence we saw in president bush and in consumer confidence after the initial iraq war, and then he didn't get re-elected, economy wasn't growing enough, the economy is worse than it was, certainly during much of the
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last decade. it's not been a grade decade in general. what the recession revealed is the reality we were ignoring once credit stripped away, loss of middle class. it's easier to buy a car than it is to buy a house. unfortunately we have people living in cars. that reality is hard to escape. rising ranks of poverty, particularly among children, rising ranks of people living in poverty, working poor. i think all of these issues are real issues. so perception and reality not that far apart at this stage. >> you get the last word. >> let me point out in politics very often perception is reality or is taken as reality because to go back, when you look at the father george bush's first and only term, the economy had begun to turn around in the summer before the election. people didn't feel it. it didn't matter. no matter how many times. it wasn't enough.
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i don't feel it. still feels like the economy is bad. perception does matter in politics, sometimes stronger than reality. >> nice to see you. thank you. the president wants money to create jobs. congressional republicans are hardly ready to sign the checks. this is web-based trading, re-visualized. streaming, real-time quotes. earnings analysis. probability analysis: that's what opportunity looks like. it's all visual. intuitive. and it's available free, wherever the web is. this is how trade strategies are built. tradearchitect. only from td ameritrade. welcome to better trade commission free for 60 days when you open an account.
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i tell you what i can spend. i do my best to make it work. i'm back on the road safely. and i saved you money on brakes. that's personal pricing. president obama wants his american jobs act passed on the hill. he'll need support from republicans in congress to get that done. that has the president questioning the intentions of some on the right. >> they supported this stuff in the past. but they are thinking maybe they don't do it this time because obama is promoting it. give me a win. this isn't about giving me a win. this isn't about giving democrats or republicans a win. it's about giving american people a win. >> will cain is a cnn contributor. if the economy turns around by 2012, it greatly enhances the
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president's chances for re-election. is it fair to say republicans will benefit from the congressional motto just say no. >> i can't even play with that, this needs to be called out. the president's jobs plan is good and a farce. it's good because there's things in there like infrastructure investment to agree on. we need to be realistic about how many jobs and how quickly. it's a farce, what drives it is keynesian economic that government spending boosts demand. he says we'll pay for it with tax increases which beats demand. he's betting his spending multiplier is higher than tax multiplier. it's a farce. politically he knows this won't pass. there are places, room for compromise, corporate tax reform. he chose something he knows the gop will oppose. he did it so it would fail and he can paint them as bad gus. >> let's listen to what speaker of the house john boehner says. it's not politics that would
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cause him to hold up the american jobs act. it's policy. >> some of the president's proposals i think offer an opportunity for common ground. let's be honest with ourselves. the president's proposals are a poor substitute for the president obama growth policies that are needed to remove barriers to job creation in america. >> okay. roland martin is a contributor. disagree with $147 million in new stimulus, does president obama really have an economic record to prove republicans wrong here. >> how in the world can you continue to sit here and say oh, we've supported these things in the past. but now we don't necessarily like it. this makes no sense to me. this is the fundamental problem when you talk about how did you come to a conclusion. i crack up when will said, well, he put something forward that he knows will fail. the point is you put together your best proposal and duke it out. you can't even guess what they
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think on the opposite side. they thought the debt ceiling and speaker said, no, we don't like it. it makes no sense whatsoever. this is actually the gop being object stinnent. there are republicans on the record in the political piece that say we don't want to give him a win. that is shameful rhetoric. >> hold on. i see you bristling. i want to bring in ben white, correspondent for politico. both sides want to convince they care more about creating jobs. election 13 months away but job crisis going on now. anything to expect the gridlock ends up soon. >> the short answer to that is probably no you even see democrats talk about harry reid has not shown urgency bringing things up in the senate. he sees writing on the wall. he knows republicans won't support more infrastructure spending. it's not entirely fair to say they supported them in the past and don't support now. some of the things in the past, they say it didn't work. giant stimulus, still have 9%
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unemployment. it was a failure. some of the tax cut cut, extension of payroll tax credit extending it to employer and employees, that's possible that could get passed. it won't make much of a difference. infrastructure spending isn't going to happen. we almost shut down the country because we couldn't raise the debt ceiling. we're not going to have a big agreement on jobs plan soon. >> this is a problem when we say the stimulus plan failed because unemployment went down. what about the idea we were on an upward trajectory, had we not done it, we would be -- >> i talked to somebody at treasury that said, look, you really would have felt it if we didn't do it. again, with this new jobs plan they say if we don't do it, you will feel it. if you do do it, it's going to help. we don't know how much. that's hard to sell people. hard to quantify a negative. >> that's right. seems like a convenient excuse. i do want to disagree with ben on one thing.
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i do think there's room for compromise. infrastructure isn't such a stick in the mud republicans will oppose cart blanche. i think you could fashion an infrastructure package they would come around to if on the other side you offered real tax reform. what president obama put out there, he knew ahead of time they will not agree to this. therefore, his whole proposal was designed to fail. >> these are the very people who sit here and scream cut, cut, cut, cut then sit here and defend a bush tax cut knowing full well it increases the deficit. they say cut the deficit, there's no logic there. >> let me jump out here and take a quick break because we are not cut, cut, cut. we have to pay. we need two minutes to pay the bill. don't go anywhere. private sector has to drive this recovery at some point. which republican candidate does the business community want to see win the nomination? to take on that list oyours. t'chevy season of ding.
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republican presidential contenders. everyone wants to see business drive recovery. does wall street have a favorite candidate from the field. "wall street journal" gave its endorsement to jon huntsman and his economic policies. >> huntsman is gaining popularity, so john macand morgan stanley came out for huntsman. i think mitt romney is the favorite now. >> he doesn't think ben bernanke is -- >> ponzi scheme, not supported. they want someone that can win, lower taxes, pro business policies, nobody messing with capital gains taxes. romney they think can win. perry not. >> perry supporters are saying, hey, these are all the people that called it a ponzi scheme and lots of people called it a ponzi scheme. >> wall street wants everyone but ron paul. they always love a republican president because their whole deal is just let us do whatever
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we want. when they hear somebody say lower all the regulations, they are going, yea, we know who we want. they want anybody but obama. >> this next one is for will. the president gets low marks handling the economy. americans still trust him more than congress will. a poll shows 46 of americans trust president obama to handle economy, 37% gop in congress, 15% say neither one. how can they separate themselves from an unpopular congress. >> that shouldn't surprise anybody. congress always has the lowest approval ratings. >> do they deserve it? >> yes. i would say the way you approach the election going forward, go off what ben said. guys like jon huntsman to a lesser extent, much lesser extent mitt romney have economic proposals that distinguish from president obama and subsequent ways to improve the economy. unfortunately 1984 gary hart and seven dwarfs for voters it's all
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seven dwarfs. there is no hart in the field. people don't like jon huntsman. >> he looked like the relative you despise at the debate. they barely wanted to clap for him when he walked out. "the wall street journal" can love his jobs plan. guess what, he has no shot at all of getting infantrymen nation. >> let me ask you in vast years of covering this. if you have unemployment at 9%, no real meaningful job loss but no great job creation over the next year, can this president still win? >> it's going to be a very tough hall for him. franklin roosevelt is the last person who won with employment this high and he had a better trend going down. the only way he can win is a negative campaign against republicans, these are my ideas, they want to go back to where we were, big tax cuts for the rich. >> does whether he wins depend on who the candidate is and the economy or both. >> both. president obama's approval ratings are at historical lows. jimmy carter is the only
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president with lower approval ratings at this point in his presidency. this is a huge opportunity for conservatives. this is the field we can put together? i hope not. bill clinton entered the race in 1992 or october 4th. we still have time. >> still with chris christie. >> that ain't happening. look, the most important i believe, you saw it on monday, when these candidates totally dismissed and blew off latino voters. how can they lose the election? easily, nevada, colorado, next. those states will be critical. >> ben says no. >> mark rubio. >> couple of people told me if you had a romney/rubio ticket you have wall street and tea party view of the world. >> don't fall for that. rubio falls in line with tea party policies. when they start hitting immigration, the dream act, those numbers are going to be
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deplorable. if they keep dising latino voters they are helping the president with re-election bill. >> the bill clinton in october tells you how much time we have to go. how does this president turn it around? >> the president has to get more aggressive. >> james carville piece, fire and indict. >> that's nonsense. the moment you fire, next article from james, panic in the white house, no idea what they are doing. people like the fact this is a no drama president. folks like me want him to show a little more fire. they like the fact he's not someone slashing and burning for the heck of it. >> what can he do? he has had a lot of different economic advisers so far, all the from the same school of thought. >> wall street. economically he tried everything, tries to target job creation, target investment. the way you improve economy lay it with tax reform. it's a slow process.
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he can't tinker around the edges. don't worry about firing it will be taken care of in a year. >> what if it takes time to heal this. financial crisis, takes years. david brooks wrote in the "new york times," people forget conveniently that it takes years after a financial crisis where you have high unemployment and then it gets fixed, then someone gets credit for it. >> this is where we get into the problem of making this argument it could have been worse, which is hard to sell but probably true in some regards. he's got housing crisis, a long way to roll. housing prices are not going up soon. it's going to take years to get through this. it's not his fault it's 9.1 unemployment. >> we're impatient. bernanke told us in '08 this is going to take some time. we said i don't care. >> on the record saying impatient. >> no, i'm patient. >> roland martin, thanks everybody. nice to see you. have a great weekend. europe has big problems. if you think their economic problems don't hit us at home
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it's been more than a year since the debt crisis erupted in greece. leaders of the 17 country eurozone struggling to prevent a
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spread of financial turmoil. take a look at the map. it shows the country in favor of defaulting on loans. greece has a 99% probability of default. portugal 62% probability of default. this week the u.s. federal reserve and four of the world's largest central banks began pumping money into europe, promised to do so. richard quest is the help of quest means business. richard, why is the fed throwing money at this crisis? by the way, the american treasury secretary happens to be in poland talking to european finance ministers. does it show how important what happens there is to what happens here? >> there's no question. the fact tim geithner went to poland to sit with the european finance ministers to hear what they have to say and basically to read them the riot act. sort yourself out. get something done. show you mean business. i mean, he won't put it in those blunt terms. that's the gist of it. tim geithner doesn't turn up at
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a meeting for the laugh and giggles of it. he wants them to understand that this has gone on long enough and that europe has failed. i mean, look, in my discussions this week with european politicians and bankers, they are now starting to say very openly, enough's enough. for instance, yesterday speaking to finland's europe minister, he tells me, we've got to do better. the former british finance minister says europe hasn't done a good job. so that's what they are now looking at how to get ahead of this. >> more help coming from unexpected places, brazil, russia, india, china. brits could step in and buy some of europe's debt. bailing out more established economies. >> the freud of it, you can hear the giggling at the prospect. the fed -- one of the things
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that really worried everyone this week, two banks went to european central bank and needed to borrow dollars from them, because american banks frankly are with drawing their support, with drawing their liquidity, long-term lending they don't want to be involved in european interbank lending. there is a worry, it is just a worry that european banks might find themselves short of dollars. that's what the swap arrangement, repo put in place. central banks says anyone want dollars, three times over the next three months you come to us and we'll give you as many as you want. the object is to prevent 2008 credit crunch. >> how close are we to that proverbial shoe dangling on the end of the big toe ready to drop for a financial crisis? >> i wish i knew. you know, you and i talking about the anniversary of lehman brothers. as things stand at the moment,
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the single biggest risk is somewhere in the politics of europe the greek bailout failed or restructuring bailoff doesn't take place or greece defaults suddenly and on a massive scale. that's the biggest risk at the moment. i think longer term, this is on both sides of the atlantic, the worry is many years the so-called lost acre aid scenario, christine. you know this as well as anyone. the japanese scenario, they don't get ahead. that is something in the united states the policymakers are terrified about. >> i thought you were saying i knew more than anyone because you've seen my 401(k), from my own personal loss. >> i looked at mine today. excuse me while i just -- >> all right, richard. have a great weekend with your tissues. getting america back to work, the president's most important job. some solutions next. to a patient in time for surgery
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welcome back to "your $$$$$," always a pleasure apprehend fareed stops by, the special airs sunday. let's get back to basics and play word oziation. i'll give awe word or phrase and you tell me what comes to mind. eurozone. >> disaster, crisis. you didn't pick a word. >> dangerous of christine lagarde used the word dangerous to talk about what's happening now. it matters for us in our economic recovery. >> it's a huge issue. europe is our largest trading partner. you hear about china, brazil, the united states trades mostly with europe, europe trades mostly with the un. that goes wrong there means jobs will dry up here. the broader picture, richard quest was talking about the mechanics of financial failure. why is all this happen? the reason this is happening, in europe, as in the united states, people are realizing that growth
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is going to be slower than predicted, which means when growth is slower than predicted, less in tax revenue, more expenditures on unemployment, so your deficit gets worse. that's the fundamental problem. that's why countries like greece and italy, they realize they need more money to finance larger deficits than predicted. the underlying problem, slow nick growth, lack of jobs. >> back to word association big story for the week, poverty in america. >> it's sad, distressing, because we often forget that the people at the bottom here get hut the most by far. what's striking about those poverty statistics is you now have people who are staying in poverty for longer and longer. that then leads to a kind of loss of hope. that's what's so un-american. people stop looking for work. they think they can never get work. it affects their whole lifetime of income. >> a new entrance into the rank
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of the poor. that's what's unsellinging for people that used to be in the middle class. middle skills workers who haven't found safety valve for factory work or unskilled labor and skilled labor who found themselves able to get a job. that's truly, truly unsettling. you know we need to retrain. you know we need to align skills with what our economy is doing. that doesn't happen in 10 years. >> people who have a college degree in the united states have an unemployment rate of 4.6%. that's actually very low. people without a college degree have 11% unemployment rate. there you have the story of the tale of two americas. >> you look at earnings of folks who do have the degree, it more than pays for the conversation. there's an in conversation, is college worth it? you look at the statistics and that's your were you ever. we don't think enough in this country about what kind of expenditures, whether it's personal expenditures or governmental expenditures. when you buy education you're investing in yourself for life.
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when the government builds a bridge, it's making an investment for 100 years of economic growth. you give somebody a check unemployment insurance it doesn't do anything. that's consumption. >> education in america. we also got a number this week showing the average s.a.t. score is 1500. it's been going down. >> the word association with education is down. what i mean you choose any metric and you look back over 30 years, american education is worse. fewer college graduates. fewer high school graduates. we do worse on tests. look at any test. >> we spend twice as much per student as we did in the '70s. >> what about obama's jobs plan. should it have a chance. >> whether it has a chance it's a matter of politics. he may be able to garner some support. the jobs plan has two parts. some of it is extension of unemployment. temporary payroll tax cuts. it's fine. as a matter of compassion i'll
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support it but it doesn't solve the problem. it's a band aid. the part that i think is powerful and important is the infrastructure part. at this point even if you give the private-sector incentives they are not hiring because there's no demand out there. but infrastructure is a place where government can do it, we have unemployment among construction workers is 20%. rebuild america's roads, highways, airports. borrow 30 year money. this is a perfect example. we should be spending a lot more on from your than we are. >> really none of these jobs plans, though, address the big structural imbalances we have and structural unemployment that could become a chronic problem. when you're just giving an extension of unemployment benefits you're not talking about the investing in the stem, science, technology, engineering and math. you're not talking about the retraining of a 50-year-old worker. these are things we have to get our head around. >> clearly at heart what we have
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to do is education because our workforce, the head of pimco put it very well. our workforce is too expensive and too poorly educated in today's world. there's only two ways that can go. educate them better or bring down their wages. we don't want to bring down their wages so there's only one option, you have to educate them more. >> your special is this sunday, 8:00 p.m. eastern. tell us about it. >> what we to is we first begin at looking what's the nature of this jobs crisis. as you suggest it goes back beyond this recession. there's a structural problem. 30 years the american economy has had difficulty creating jobs and for ten years we have created no jobs. net employment in the united states over the last ten years zero. >> already a lost decade. >> why did it happen? how can we fix it? what we do, it's now fashionable to call them job creators. we talk to the ceo of general
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electric, dow corning. what will it take for you to start hiring again. practical solutions, how can you get more jobs. we'll worry about the ideology later. >> when you look at average family income is back to 1986 levels. whole decade of wealth gone out. stock market is on its heels and job market like this, perfect time to take a look at,000 create jobs and fix it. thank you. can't wait to see it. >> from the boxing ring to religion the story of a man living the american dream next. available seating for up to seven people to take everyone... and the grip of available all-wheel drive to go everywhere. if you think you need a journey, you're in luck. because this one is still right where you see it now. seriously. you find it, and you'll
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drive home in a new journey.
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i tell you what i can spend. i do my best to make it work. i'm back on the road safely. and i saved you money on brakes. that's personal pricing. jury -- jerry foreman came to america to pursue his passion for boxing. but this fighter realized something was missing in his corner. ali velshi has the story. >> i came to new york just to pursue my own american dream.
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>> reporter: this is the story of a young man on mission, yuri foreman, born in belarus, moved to israel, ten years ago came to new york and walked into the gleason's gym in america because he wanted to be the best middle weight boxer 0 the planet. >> i came here. i told the owner i want to be a world champion. >> reporter: you want to be a world champion. >> that's why i came to the united states. >> reporter: it was the right place. gleason trained robert diniro for his role in "raging bull." owner bruce sillerblade. >> i was impressed from yuri, he came halfway around the world with no support team. >> reporter: he gave him free lessons and eventually those lessons paid off.
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in 2009 foreman became the wba super welter weight champion, the first-ever from israel. his quest was complete. then he discovered something was still missing. something he had been disconnected from ever since and he was child in the former soviet union, his jewish faith. did you observe jewish rituals. >> it was forbidden. many jews forgot about their roots. only reminder was in their passport. >> reporter: it occurred to him when his girlfriend soon to be his wife even asked him basic questions about judaism he didn't have the answers. so, a new quest began. yuri foreman not only embraced his long lost faith but with the
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zeal of a champion decided to become a rabbi. his studies will be complete within a year. >> my goal is to work with young adults. there's a lot of kids who perhaps need a little push, need a little motivation and i think i can help them through boxing or through personal experience. >> reporter: it may be a fitting change. last year all the round in the boxing ring caught up with him. a nagging knee injury took him down in a tough bout at yankee stadium and he lost his title. he's training to win his belt back but even in the process it's clear his new passion for his old faith is weighing heavily today he prays each die be a good father and for the completion of his a rabbiniccal

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